Archive for the ‘consumer debt’ Tag
Cause and Effect of Massive Debt
Filed under: Banking, Business, Economics, employment, Financial Markets, Food & Fuel, Gasoline, Housing, Inflation, Investments, Labor, Manufacturing, Oil & Gas, Politics, Production, Real Estate, Retail, Sales, Stock Market, Unemployment | Tags: auto loans, consumer debt, Credit Card Debt, Defaults, Foreclosures, unemployment
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CAUSE, EFFECT & THE FALLACY OF A RETURN TO NORMALCY is
The Burning Platform’s post for March 6th, 2012
I hear the term de-leveraging relentlessly from the mainstream media.
The storyline that the American consumer has been denying themselves
and paying down debt is completely 100% false. The proliferation of this
Big Lie has been spread by Wall Street and their mouthpieces in the corporate media.
The purpose is to convince the ignorant masses they have deprived themselves long enough and deserve to start spending again. The propaganda being spouted by those who depend on Americans to go
further into debt is relentless.
The “fantastic” automaker recovery is being driven by 0% financing for seven years peddled to subprime (aka deadbeats) borrowers for mammoth SUVs and pickup trucks that get 15 mpg as gas prices surge past $4.00 a gallon. What could possibly go wrong in that scenario?
Auto Loans – Falling Farther Behind
Filed under: Banking, Business, Economics, Retail, Sales | Tags: auto loans, auto sales, consumer debt, Consumer spending, Credit Crisis, Debt, Financial Markets, loan defaults
Leave a comment From TransUnion:
The percentage of auto loans past due 60 days or more rose 8.9% in the fourth quarter of 2008, compared with a year earlier. That’s according to the credit reporting agency TransUnion.
Auto-loan delinquencies tend to be cyclical, with the fourth quarter typically showing the fewest problematic payments. But the recession appears to be changing that.
“The overall economy, the weak labor markets, disposable income, are all affecting auto debts as well,” said Peter Turek, automotive vice president in TransUnion’s financial services group.
Since the recession began in December 2007, auto loan delinquencies have jumped 25 percent, compared with a 10 percent increase in the 2001 recession, Turek said. He expects they will rise at least another 15 percent before peaking.
This is yet another indication of the depth and seriousness of this deep recession the country is gripped in. Credit and loan defaults are occurring in many sectors all across the nation, a very worrisome trend that has not yet showed any signs of slowing down.
Die ex-onomic Machina 